What we heard report: Consultation on licensing fees proposal for hatchery and feed establishments

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Introduction

The Canadian Food Inspection Agency's (CFIA) licensing system plays a critical role in safeguarding the health, safety and security of Canada's agriculture and agri-food sector. It operates within a robust regulatory framework that provides legislative authorities to ensure that businesses across Canada meet rigorous safety standards by implementing preventative control plans designed to effectively reduce risks such as:

  • food contamination
  • animal health threats
  • environmental hazards

The modernization of the Health of Animals Regulations (2022) and Feed Regulations (2024) implemented a new licensing system for hatcheries and feed establishments. The system is aligned with the Safe Food for Canadians (SFC) licensing model, sharing the same delivery flow—digital intake, verification and inspection oversight.

Under this fee proposal, we intend to align the hatchery and feed licences with the SFC licensing fees and apply uniformly to all future licensing services that share the same digital delivery flow. This approach:

  • maintains the cost recovery aligned across similar licensing structures, ensuring consistency and transparency
  • aligns with the cost of delivering the service in a fair and equitable manner
  • supports the sector's sustainability and competitiveness

The proposed fee was determined by considering the total cost of providing licensing services. We also looked at factors such as the benefits to businesses and individuals and the potential impact on service users.

This initiative aligns with the Government of Canada's Red Tape Reduction efforts and reflects our commitment to streamlining processes and reducing burden associated with regulatory authorizations, such as licensing, while strengthening service delivery.

By standardizing licensing fees across commodities subject to similar licensing delivery model, we will achieve operational efficiencies. These efficiencies support timely service delivery and lead to improved outcomes.

Consultation overview

We ran a 30-day consultation on the proposed licensing fees for hatchery and feed establishments from January 12 to February 11, 2026, to gather feedback on the proposed approach.

We provided stakeholders with a detailed fee proposal outlining the analysis used to determine the proposed fees and describing the new licensing cost recovery that would apply to hatchery and feed establishments.

Stakeholder comments were submitted via email.

Who we heard from

We received 5 written responses from:

  • feed manufacturers
  • hatchery industry organizations
  • general public

What we heard

All submissions were reviewed. In general, respondents did not raise concerns regarding the cost recovery approach or the fees proposed, and some respondents directly expressed their support for the fee level.

Stakeholders also commented on other issues of importance to them, including broader considerations related to service delivery, communication, and future consultations. Specifically, they highlighted the importance of consistent service delivery across regions and inspectors, as well as the need for timely and clear communication, particularly in the context of program modernization. These respondents emphasized that predictable timelines, consistent interpretation of requirements, and clarity during implementation are key to maintaining confidence in the regulatory system.

Stakeholders encouraged the CFIA to continue strengthening transparency in future consultations by providing additional detail on how the full cost of delivering the service was calculated, along with further explanation of the public‑private benefit assessment.

Respondents also encouraged the CFIA to consider adjusting fees downward in the future if efficiencies, such as those gained through digital tools or artificial intelligence, reduce the actual cost of delivery. They recommended that we continue reviewing costs at regular intervals to ensure fees remain aligned with the cost of providing the service.

Finally, respondents shared broader views on animal welfare, avian influenza management, and poultry production practices.

Next steps

We thank everyone who participated in the consultation process. Considering the broad support for the proposed licensing cost recovery approach, we will proceed with publishing the new fees.

We continue to work closely with stakeholders to improve consistency, streamline processes, and enhance communication to support compliance. We remain committed to transparent engagement and ongoing efforts to modernize regulatory programs in a way that is responsive to stakeholder needs. We are also continuing to modernize our cost recovery system and refine our fee setting processes to support greater clarity, transparency, and predictability for fee payers.